Tax-free allowance – subsistence allowance for missions available for missions both domestic and international.
An employer shall reimburse the employee for increased cost of living in connection with a mission (overnight) activities outside the resort (fem mil from the place or residence) by subsistence.
The requirement for obtaining a tax-free allowance Thus the accommodation must be made regardless of whether the mission is in Sweden or abroad. Hence is a so-called dagtraktamente (subsistence allowance for missions without overnight) always taxable in full.
For business travel in Sweden, the Riksdag decided that an tax free daily allowance must be 0,5 % of the price base, rounded to the nearest 10 or so crowns. For business trips abroad determines Tax every year so-called normal amount that will apply to each country (Foreign subsistence allowance).
Click below to see which tax-free allowances (amount) that apply to business travel, combined with an overnight stay for the current income year (taxation year):
– Subsistence allowances in Sweden
– Subsistence abroad
Tax-free allowance – Silent set-off
Silent set-off for, ie subsistence allowances are not included in the declaration and no deductions are made in the declaration. Subsistence amounts to Tax set considered expenses and are tax-free. If the company pays out a higher allowance (resetillägg) than the allowance amount that the Tax Agency has set as seen on the excess as wages and is taxable.
Tax-free allowance – Deductions from the allowance for free meals during the mission
If the employee receives free meals during the trip to the tax-free allowance is reduced and the employee is taxed on the cost benefit. Different procedures are applicable for travel within Sweden or trips abroad:
– Subsistence in Sweden
– Subsistence abroad
Reduction should not be made for meals compulsory part of the trip ticket (In practice, only relevant for air travel). These meals are not included as cost benefit.